The former top manager of the FTX crypto exchange admitted to fraud and may pay a fine of $1.5 billion

One of the former executives of the bankrupt FTX crypto exchange, Ryan Salame, on Thursday, September 7, admitted in financial fraud and irregularities in the financing of politicians. In court, the former co-director of the Bahamas division of FTX said that he transferred millions of dollars in donations to the US Republican Party, but they were structured as loans to avoid disclosing the donations.

In total, Mr. Salame transferred about $24 million to candidates from the Republican Party, becoming one of the largest individual sponsors of this party, but these donations were not advertised. In turn, the founder and head of the entire FTX, Sam Bankman-Fried, openly made donations to the Republican rival, the US Democratic Party.

Investigators cite private correspondence from Mr. Salameh, in which he says that “if you give money to any one party, the politicians of the other party will not communicate with you.” Therefore, FTX top managers donated funds to both parties, and in order to avoid attracting media and public attention, they disguised donations to Republicans as fictitious loans from shell companies. For these violations, Mr. Salama could face a prison sentence of up to ten years.

Reportedthat now, after admitting guilt, Ryan Salameh can enter into a plea deal. According to the US Department of Justice, to avoid a prison term, he can pay $1.5 billion in fines and compensation.

About how the US authorities began a fundamental review of the regulation of crypto platforms – in Kommersant publications.

Evgeny Khvostik